Volkswagen recently provided more information on its upcoming PowerCo SE battery cell factory in Canada. VW is setting the bar high with a goal to reach an annual production capacity of up to 90 GWh for its first battery cell production facility in North America.
“When we talk about our made-in-Canada plan, we’re talking about creating good, middle-class jobs now and into the future, we’re talking about clean air for our kids and grandkids, and we’re talking about a strong economy that works for all Canadians. That’s what Volkswagen’s new electric vehicle battery plant in St. Thomas – the largest manufacturing plant in the country once built – is all about. It’s a win for workers, for the community, and for the economy,” commented Prime Minister Justin Trudeau.
Thomas Schmall, VW Group Board Member for Technology, noted North America’s role in the German automaker’s global battery strategy. He emphasized that PowerCo’s cell factory would make battery cells in North America for North American customers. The legacy automaker aims to make PowerCo a global player in the battery industry for electric vehicles.
The St. Thomas battery cell facility’s groundbreaking is planned for 2024, with production expected to start by 2027. The facility is part of a larger plan agreed upon with the Canadian government and Prime Minister Justin Trudeau last August. The larger plan focused on battery value creation and raw material security.
The battery cell facility in Canada is part of Volkswagen’s growth strategy in North America, which includes the expansion of Electrify America and the announcement of the Scout brand. The German automaker aims to gain a 10% market share in the United States by 2030. To reach its goal, VW plans to launch a broad lineup of battery electric vehicles (BEVs) under the Volkswagen and Scout brands.